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Speaker 1: Global business news twenty four hours a day at Bloomberg

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Speaker 1: dot com, the Radio plus Mobile Act and on your radio,

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Speaker 1: this is a Bloomberg Business Flash and I'm Karin Moscown.

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Speaker 1: There's updates brought to you by Eisner Emperor. When entrepreneurs

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Speaker 1: face challenges like choosing a business structure or access to capital,

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Speaker 1: they call the accountants and advisors at Eisner Emper connect

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Speaker 1: with them Eisner Emper dot com slash tech. European stocks

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Speaker 1: were lower for much of the morning, while German government

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Speaker 1: bonds rise with gold and a yen after explosions rocked

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Speaker 1: of Russell's airport departure hall and a downtown subway station.

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Speaker 1: Right now, the decks in Germany, though is little changed,

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Speaker 1: are racing its declines. CAC in Paris and f T

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Speaker 1: one hundred are both down about three tenths per cent.

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Speaker 1: They're well off their lows in the morning as well.

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Speaker 1: Futures are lower. SNP EVENY futures down six points, Dow

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Speaker 1: e Many futures down thirty two, and nasdack emny futures

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Speaker 1: down thirteen ten. Your treasury up three thirty seconds, The

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Speaker 1: yeld one point nine zero percent, NIMEX s crude oil

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Speaker 1: down half per cent or twenty cents to forty barrel.

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Speaker 1: Comex gold up seven ten percent or eight dollars twenty

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Speaker 1: cents to twelve fifty two forty anounced. That's a Bloomberg

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Speaker 1: business flash, Tom and Mike Karn, Thanks so much, Michael

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Speaker 1: McKee before we go on to international relations and market impacts,

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Speaker 1: and that there's always certainly headlines that get your attention

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Speaker 1: in a tragedy. Belgian Red Cross appeals to oh and

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Speaker 1: aid blood donors and Wallonia, which is one half of

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Speaker 1: Belgium not in the cultural certainly not a surprise. The

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Speaker 1: latest from the subway system, the Belgian subway system which

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Speaker 1: is by the way completely shut down, all transit in

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Speaker 1: bustles is and Eurostar shutdown fifteen victims, fifty five wounded

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Speaker 1: according to the officials. There. Biggest reaction we're getting in

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Speaker 1: the markets is in the currency markets. As we mentioned earlier,

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Speaker 1: the euro at one twelve oh nine uh. The swissy

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Speaker 1: at the moment is also trading higher as the great

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Speaker 1: the British pound falls to one two seventy four. Japanese

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Speaker 1: yen is gaining one eleven. The haven trade. Jane Foley

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Speaker 1: is a senior currency strategist at Rubble Bank in London

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Speaker 1: and Jane this is really a reflection not just of

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Speaker 1: Haven demand, but you can almost see the political aspect

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Speaker 1: to this happening. You certainly can, because I mean this

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Speaker 1: is two twofold. Rely, I'm sitting in London. We have

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Speaker 1: the referendum and the EU coming up, so it does

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Speaker 1: it does figure into that debate, but I think more widely,

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Speaker 1: of course in Europe, there has been concerns about immigration,

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Speaker 1: there's been concerns about terrorism. That the two are separate,

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Speaker 1: that they are at LinkedIn in some way, and already

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Speaker 1: we have some compromises in the Shenang agreement and Shangan

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Speaker 1: is very very important for the EU. What it means

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Speaker 1: is that there's there's visa free travel for the different

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Speaker 1: citizens of your round the region, and we've already seen

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Speaker 1: some of that breaking down as a function of the

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Speaker 1: immigration crisis, and these sorts of terror attacks do put

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Speaker 1: fear into people's mind. What you probably will also have

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Speaker 1: as as a movement towards, of course, the far right.

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Speaker 1: We've seen that really since two thousand and fourteen, particular

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Speaker 1: countries like France, far right people have just frightened of

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Speaker 1: terrorism and perhaps confusing that with with with with immigration too.

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Speaker 1: So that is an aspect in the UK at the

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Speaker 1: UK courses an island, there's an island mentality that a

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Speaker 1: lot of people already isolated isolationist in that form. But

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Speaker 1: again this could it could potentially bolster that they leaves

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Speaker 1: campaign ahead of the June referendum on EU membership, and

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Speaker 1: that is why Sterling really had fallen hard this morning.

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Speaker 1: Jane with him the years you have had at Rabble Bank,

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Speaker 1: coming from a set of agricultural banks over a hundred

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Speaker 1: years ago into a leading Dutch bank, and obviously, Jane,

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Speaker 1: with the international exposure that you give us every day

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Speaker 1: from London, how do you see business decision making will

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Speaker 1: be after the sequence of these attacks and moving from

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Speaker 1: Paris of November now on Belgium of this March, business

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Speaker 1: decisions get made. How do you perceive where you use

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Speaker 1: it they will be made? Well again, it makes things

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Speaker 1: more difficult on a day to day basis. If you

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Speaker 1: have Sengan under pressure, then trucks just take longer to

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Speaker 1: get through borders. That increased costs. It can be detrimental

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Speaker 1: to growth in terms of investment, which is probably more

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Speaker 1: the question that you're asking again, it can have an

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Speaker 1: effect um volatility markets we know that can have a

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Speaker 1: detrimental impact on investment. These sorts of events have the

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Speaker 1: same effect create create volatility, create uncertainty, can hinder investment,

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Speaker 1: and that could cause can hinder growth. And this all

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Speaker 1: at the time where the Eurozone economy has been really

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Speaker 1: very slow to recover and we need growth desperately. So

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Speaker 1: from a clearly at processor reactions to an events that

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Speaker 1: this is really the human aspect and in the pain.

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Speaker 1: But it does of course have a quite a significant

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Speaker 1: secondary impact on growth potential. We have very poor economic

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Speaker 1: data in Japan today, the March p m IE one,

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Speaker 1: the Lowesson's February of two thousand thirteen. But the money

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Speaker 1: is flowing into Japan, into the Japanese yen. Is is

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Speaker 1: that likely to continue? Well? Again, it really depends on

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Speaker 1: what the fallout of these attacks are, whether or not

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Speaker 1: that your remains on high alert, has to remain on

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Speaker 1: high alert, and of course on other events, other geo

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Speaker 1: political and growth events around the world. But I think

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Speaker 1: what we've seen this YERI is the end is in

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Speaker 1: demand and and people are very reluctant to give up

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Speaker 1: the end. I mean, over the last few weeks, market

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Speaker 1: politility has actually been dropping back. But even though we've

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Speaker 1: seen a better tone of some of the commodity currencies

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Speaker 1: on the back of that, people are still being very

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Speaker 1: reluctant to relinquish their hold on the end. And that

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Speaker 1: suggests that there is an underlying fear still in the market,

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Speaker 1: perhaps about growth, but now perhaps about your political events.

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Speaker 1: Where do your phenomenal g d P in Europe? I mean,

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Speaker 1: are we sub three? Now? Is that possible? Quite? Quite possibly.

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Speaker 1: There has been a better data really this morning from

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Speaker 1: from Germany, which is a little bit encouraging, but we

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Speaker 1: still see very slow growth. Now. Of course this cannot

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Speaker 1: all be pinned on terrorism um and is related to that.

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Speaker 1: Of course, a large part of this is is is

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Speaker 1: structural Beneath the structural forms, more structural measures low productivity,

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Speaker 1: which is called something in the UK and in the

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Speaker 1: US to demographics. Various reasons that we've we've got slow growth,

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Speaker 1: but certainly the breakdown or the or the question marks

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Speaker 1: favor free movement and terrorism or certainly go the wrong

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Speaker 1: way as far as bolts in the economy is concerns

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Speaker 1: and James save travels on particularly to all of your

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Speaker 1: Rebble Bank personnel and Antwerp and in Russells as well,

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Speaker 1: and fully is with robo Bank this morning. On the

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Speaker 1: financial reactions, Mike, I would say it's we've got a

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Speaker 1: dampening the last few days on news and just further

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Speaker 1: damp in this morning. We Mike and I have in

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Speaker 1: front of his folks the Bloomberg terminal and you can

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Speaker 1: see from the pulse of the screen Mic, the red

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Speaker 1: and the green what's moving and there's just not much

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Speaker 1: pulse right now. Surprisingly contained reaction compared to some of

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Speaker 1: the terrorist attacks we've seen before. But as Tony Dwyer

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Speaker 1: from Chanically put it on Bloomberg Surveillance earlier today, unfortunately

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Speaker 1: markets getting a little bit used to this kind of action.

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Speaker 1: I would say that is true. What is also true

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Speaker 1: is we've got any number of guests coming up, including

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Speaker 1: Hoder's Core on the international relations after terrorist attacks in Brussels.

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